What’s New for 2026

Section 179 deduction dollar limits. For tax years beginning in 2026, the maximum section 179 expense deduction is $2,560,000. This limit is reduced by the amount by which the cost of section 179 property placed in service during the tax year exceeds $4,090,000.

Also, the maximum section 179 expense deduction for sport utility vehicles placed in service in tax years beginning in 2026 is $32,000.